Director of War Service Homes v Law [1955] HCA 22

Director of War Service Homes v Law [1955] HCA 22

The purchaser's interest under a War Service Homes Act contract is excluded from property vesting in the Official Receiver on sequestration, and cannot be validly assigned by a deed of arrangement without the Director's written consent.

Parties
Appellant: Director of War Service Homes; Debtor: James Bramwell Bird; Respondent Trustee: Charles Allen Law
Jurisdiction
Australia
Judgment Date
18 April 1955
Procedural Posture
Appeal / Decision on Appeal From Federal Court of Bankruptcy
Outcome
appeal allowed
Legal Topics
Assignment of Property, Deeds of Arrangement, War Service Homes Act, Effect of Bankruptcy on Contract, Transfer of Interests in Land
Bankruptcy Property Assignment of Property Deeds of Arrangement War Service Homes Act Effect of Bankruptcy on Contract Transfer of Interests in Land

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Parties

Director of War Service Homes

Appellant

James Bramwell Bird

Debtor

Charles Allen Law

Respondent Trustee

Procedural Posture

Appeal / Decision on Appeal From Federal Court of Bankruptcy

Legal Issues

  1. 1 Does a deed of arrangement under Part XII of the Bankruptcy Act effect an assignment of a purchaser's interest under a War Service Homes Act contract?
  2. 2 Are interests under such contracts protected from divestment by operation of bankruptcy laws or assignment without the Director's consent under the War Service Homes Act?

Ratio Decidendi

The purchaser's interest under a War Service Homes Act contract is excluded from property vesting in the Official Receiver on sequestration, and cannot be validly assigned by a deed of arrangement without the Director's written consent.

Court Disposition

appeal allowed

Orders

  • Order of the Court of Bankruptcy discharged.
  • Motion of the respondent trustee dismissed with costs.